"I don't think we're slower to move; we're a very choiceful company. We're very choiceful in the number of titles we make. We scrutinize opportunities very carefully, and when we go into them we go big." - Eric Hirshbirg, CEO of Activision

I know I'm a little late posting on this, as I'm pretty new here but..In my opinion, If you would of came to me after Conduit 1 and asked If Nintendo should pick up The Conduit, I would of said yes. Why? The game had sold 500 000+ copies, on the Wii, with minimal advertising, and was developing a cult following. But, If you asked me now, I would say no. Even though the sequel was a decent game, and In my opinion the best multiplayer FPS on the Wii(Not that there was much competition). The game's story has went to hell because of the presidential plot, and gag's that were thrown into the 2'nds train wreck of a story. Conduit 2 did however almost sell 100 000 with no advertising, heck most people don't even know there's a conduit 2. One thing though, you can log in both games, and still find a game to this very day. The series has potential, It just needs a proper developer, and that isn't Nintendo. However, I would still be delighted if Nintendo would fund it, or develop it, why? It could be good, most of the original 2's flaws were graphical, glitches, etc, which were hard to polish on the Wii, just look at how bad CoD looked on the console. To any nay-sayers on this opinion of mine, look at Killzones reputation after the PS2, and how it's now a "killer app" for the Playstation brand.
Nintendo does need a AAA FPS game though, time are changing, and a AAA blockbuster developed by them could help.

no they don't, this logic has caused more sales losses for companies than gains

I believe Nintendo does need a AAA FPS game. It just needs to be unique and different. I'm not sure what you're basing what you said off of, though, as the Wii U hasn't had many FPS yet. If you're referring to Black Ops 2, well, one, the game still made Activision money, secondly, you're not going to get playstation or xbox fans to buy a wii u in order to play a game that they already have on their systems and lack of DLC just makes the Wii U version the least desirable of the versions.

The first Conduit was a very good game. Nice story, great controls, cool music and exceptional voice acting.
The reviews of the second conduit put me off, especially the change of the voice acting. I think it killed the franchise. It wouldn't make much sense to continue it. Better start with something new.

I've played the Conduit and it was pretty rubbish to be honest. What Nintendo could do is to publish an FPS like Goldeneye 64/Timesplitters/Team Fortress 2 that is sort of wacky, cartoonish and off the wall/light-hearted.. that's oriented towards really addictive 4 player splitscreen fun. Something like, just totally the opposite of these boring realistic military and sci-fi shooters. Who could do this??? I don't really know...Platinum Games perhaps??? They're kinda off the wall...

Nintendo don't want to make AAA blockbuster shooters, and i don't blame them.